Question

Teresa just received a quarterly statement from the Vanguard Group, which shows earnings from investments using her pretax dollars. Teresa contributes a percentage of her salary to the plan and her company matches it. Teresa is participating in a(n) ________.

Answer 1

Answer:

A 401(k) plan

Explanation:

A 401(k) plan -

It is referred to as a type of retirement saving account which enables the person to divert some part of the income into that account in order to carry out a long - term investment , is referred to as a 401(k) plan .

But their is some defined limit to divert the income .

Hence , from the given scenario of the question ,

The correct answer is a 401 (k) plan .